Three Failed Banks Closed Friday; 2010 Total At 30

State regulators on Friday closed banks in Louisiana, Florida and New York, bringing the total number of financial institutions that have failed in the U.S. this year to 30.

Upon an agreement with the Federal Deposit Insurance Corp., Home Bank of Lafayette, La., agreed to assume all of the deposits of Statewide Bank, of Covington, La. Home Bank didn't pay the FDIC a premium to assume the deposits and in addition, it agreed to purchase essentially all of the failed bank's assets. The FDIC and Home Bank entered into a loss-sharing agreement on $163.5 million of Statewide Bank's assets.

Meanwhile, Home Bancshares Inc.'s (HOMB) Centennial Bank, of Conway, Ark., will assume all deposits of Old Southern Bank, of Orlando, Fla. Centennial Bank also agreed to buy nearly all of the failed bank's assets, and the FDIC entered a loss-share transaction of $282.7 million of Old Southern Bank's assets.

Statewide Bank's six branches had about $243.2 million in total assets and $208.8 million in deposits. Old Southern's seven branches had about $315.6 million in total assets and about $319.7 million in deposits.

Earlier Friday, Valley National Bancorp (VLY) assumed the deposits of Park Avenue Bank, the second failed Manhattan bank that the New Jersey company has taken in as many days. Valley assumed about $450 million in deposits and $30 million in other borrowings and liabilities, and received about $370 million of loans that are subject to a loss-share agreement with the FDIC.

Bank failures in 2010 are continuing where 2009 ended - when regulators closed 140 banks. The figure was only 25 in 2008.

- By John Kell, Dow Jones Newswires; 212-416-2480; [e-mail]